Wragge Lawrence Graham & Co

UK 200 2014 position: 28

UK government announcement: going all out for shale

Newspapers have reported new announcements by David Cameron in relation to shale oil and gas projects in England, with measures intended to ensure that local communities see the benefits of the new shale industry in their area.

The government will double the amount of tax that local councils in England can retain that is raised from shale gas sites. Councils will now be entitled to keep 100 per cent of the business rates raised from a shale gas site, which reports suggest could be worth up to £1.7m per year.

Cameron also said that new rules would allow energy companies to make cash payments, either directly to homeowners living in the vicinity of shale project sites or into funds that would be managed by local communities…

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